Tuesday, January 3, 2012

New York Stock Exchange to delist American Airlines

American Airlines (AA) parent AMR Corp. will be delisted by the New York Stock Exchange (NYSE) Jan. 5, an expected consequence of the company's Chapter 11 bankruptcy filing last November.

"NYSE advised AMR that it is taking these steps because the average closing price of AMR's common stock fell below the NYSE's continued listing minimum share price standard of $1 over a consecutive 30-trading-day period," AA said in a statement. AMR stock, which performed poorly and erratically last year, was trading at just 31 cents per share Tuesday afternoon.

"Due to the company's Chapter 11 filing, AMR is not able to affirm an intent to cure the aforementioned share price deficiency and, accordingly, does not oppose the suspension and delisting of its securities," AA said.

It added that it "cannot predict what the ultimate value of any of its securities may be and it remains too early to determine whether holders of any such securities will receive any distribution in the Chapter 11 reorganization. In particular, in most Chapter 11 cases, holders of equity securities receive little or no recovery of value from their investment."

(Aaron Karp - ATWOnline News)

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